ISSN 1995-459X print E-ISSN 2312-9972 online ISSN 2500-2597 online English
Editor-in-chief Leonid Gokhberg
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2020. vol. 14. No. 4
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Editorial note
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6–8
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The introductory article to the special issue “The Strategic Management in the Context of Dynamic Complexity” substantiates that models and representations of the theory of complex systems are becoming the most relevant science-based background, which allows us to respond to the challenges of our time. The increasing complexity of social and economic development processes, accompanied by uncertainties, instabilities, unexpected turns, digitalization in the economy and the birth of Industry 4.0, the growing importance of network structures in business activity, new environmental standards associated with the need to switch to circular processes in the economy - all this requires changes in the management strategies of firms and corporations. Unconditional advantages are received by those firms that embed the principles of systemic, holistic, and non-linear thinking in their business philosophy. |
Strategic Foresight
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10–19
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Information and communication technologies (ICT), which are transforming most areas, develop non-linearly. Failure to take into account the nonlinear principles of complex dynamic systems hinders the development of balanced innovation strategies. Companies and governments lose the ability to effectively respond to “grand challenges”. The linear approach does not allow for covering a wide range of critical areas simultaneously in the scope of Foresight projects, it prevents one from applying an interdisciplinary approach to developing innovation strategies, correcting risk assessments, and making informed decisions.This paper proposes a solution: management based on “cyber-physical systems” (CPS) built on dynamic complexity and nonlinearity principles. Such systems not only integrate computing and physical action but are embedded in the everyday environment. They are more than the sum of multiple intelligent computing devices. CPS transform into collective social systems, integrate information, energy, and material flows, and adapt to physical processes.Cyber-physical systems can offer a sustainable information infrastructure which serves as a prerequisite for building up the innovation potential of a company, region, or country. They make it possible to analyze all stages of an innovation project from the technical and organizational points of view simultaneously, cover all possible social consequences and challenges, and identify unexpected promising developments. CPS have a decentralized structure which allows one to solve complex problems and manage large and complex structures in real time, such as an energy grid, transport, smart city, healthcare, and so on. |
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20–33
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The main purpose of this publication is an attempt to treat the phenomenon of uncertainty as one of the main research subjects in futures studies and not as the background for futures research – by answering the following research question: “What is the methodical relationship between the scope of the uncertainty phenomenon and the levels of knowledge and types of futures in the foresight approach?” This study uses the results of the analysis and criticism of the literature as the main research method. On this basis, deductive reasoning was carried out. Types of futures and the scope of uncertainty allowed to define the author's scale of knowledge levels are proposed. This paper has attempted to draw together three methodological fields: uncertainty, foresight, and knowledge. The author analyzed complex relations among the above areas on the basis of their characteristics, which are extensions of existing concepts available in the literature. In the author's opinion, conclusions from the results presented in this article can be a valuable contribution to the development of the area of of futures management. In the management of complex systems (such as Industry 4.0), from the foresight methodological point of view, it seems relevant to determine which specific uncertainties can be managed by which classes of foresight methods, and which foresight methods are determined by what level of knowledge. The results of the research presented in this publication may be used for creating a research methodology of technological foresight projects and as a complementary element of research devoted to the issues of the development of modern technologies, which include Industry 4.0. |
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34–45
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The modern theory of complex systems changes our view of historical processes, accompanied by uncertainties, instabilities and ambiguities. The knowledge of this theory allows us to master a system or holistic thinking, and to understand the laws of functioning and growth of not just structural, but dynamic complexity. Uncertainties and chaotic elements that indicate any state of crisis are not only negative factors that we should beware of and not without fear to worry about them. We can learn to manage them and use them in the way of renewal of social systems, producing innovations. The strategic vision of complex systems evolution becomes an effective tool for decision making and scenarios planning based on our participatory activities with alternative futures. The article examines the case of Shell Corporation, which has been using scenario thinking technologies since the early 1970s, which has given it incredible competitive advantages and incentives for rapid growth and transformation into an international energy giant. |
New business models
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47–50
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The transition to a circular economy is often associated with appropriate business models, which should, among other things, help replace the conventional `end-of-life? concept regarding commodities with restoration and environmental design. This systemic change appears to be closely linked to the waste hierarchy: prevention of waste, reuse of old commodities, and recycling of waste. The paper shows that there are various problems for businesses to maintain the waste hierarchy in the context of a circular economy. The intrinsic nature of environmental commodities and, in particular, societal path dependencies present some challenges. These societal path dependencies are related to the benefits of decentralized decision-making in a market economy. In the short term, appropriate environmental policies can help alleviate some of these problems, but in the long term, these societal path dependencies need to be reoriented. The paper contains practical examples of all issues raised. |
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61–78
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Manufacturers face increased cost pressure and market volatility. Product life cycles are getting shorter. Production has to be faster and increasingly local. The acceleration of "time-to-market" could happen thanks to the solutions of Industry 4.0 (I4.0), with supply chains morphing into highly adaptive networks with integrated entities. In this paper, we seek to exemplify the potential impact of I4.0 adoption upon the competitiveness of the firms (being foreign subsidiaries among others) and ask about the nature of modernization as part of the global value chain in which the enterprise operates. Our research based on four case studies reveals that the competitive advantage of a firm could be modified in the era of Industry 4.0 as a result of a sector's transformation and changing relationships with partners. These findings correspond with the literature stressing the uncertainty and complexity of the digital economy in general, as well as difficulties with the precise measuring of the expected benefits. The fourth industrial revolution emphasizes "the race to the top", giving priority to quality rather than cost reduction as a method of improving competitiveness and, since it implies the emergence of connected companies, truly linked with each other, the disappearance of clear boundaries between them. |
Networking
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80–94
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In the era of “open innovation”, the choice of a cooperative strategy is one of the most significant factors determining the effectiveness of innovation activities. The authors investigate the typical configurations of cooperative networks in Russian manufacturing, including the choice of partners, the role of spatial distance, and the duration of joint projects. Using the firm-level data (1,324 in 2015 and 545 in 2018) the paper evaluates the role of cooperation in the innovation outcomes in terms of innovation novelty and export capacity. The most common cooperative strategy is vertical cooperation, which is the involvement of clients and suppliers in the process of innovative development. The geography of cooperation rarely extends beyond a region's borders and is mostly of an irregular (short-term) nature. A small number of enterprises that engage in international cooperation tend to rely upon long-term linkages with academia, which is a distinctive feature of the most innovative Russian companies, including those involved in the creation and distribution of intellectual property. |
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95–111
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Open innovation allows partnerships between business through knowledge sharing. The mission of open science is to encourage information sharing about academic research. The purpose of this paper is to demonstrate the relevance of open science to open innovation and vice versa, especially in the context of emerging economies. Furthermore, it aims to show the results of the intersection between university and innovation companies. The methodology was based on a systematic literature review to understand how researchers have been studying the subject. It also focuses upon the relevance of open innovation and open science to the business management and information science fields. Therefore, the connection between open science and open innovation is fundamental to encouraging partnerships between businesses and universities. This kind of partnership contributes to the economy of developing countries, so business can become more competitive. |
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112–120
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In the context of technological and social changes, business faces the challenges of a more complex operating environment. New business models are required that take into account an unprecedentedly wide range of emerging factors. Among such approaches, an integral model stands out, which allows one to adapt to a new level of development of society and master a new context. The approaches to the development of an integral model are still in the process of formation, since a deeper study of the modern network society, its values, guidelines, and preferences is required. Taking into account such complexity requires non-linear approaches and thinking in terms of complex, dynamic systems. From this point of view, when interacting with the increasingly complex environment, it is advisable for companies to view themselves as an element of a large-scale system of horizontal, social ties, in which the idea of social responsibility acquires new meanings.It is especially difficult to implement integral approaches within the framework of traditional thinking due to the variety and multi-layered factors that change the context of companies' activities. The transformation of corporate governance and approaches to social responsibility is a non-linear process driven by a chain of events related to changes in consumer behavior and other aspects. Such exponential changes are characterized by profound and cumulative consequences, radically changing the spheres of activity, social relations, and institutions. This article demonstrates the case of a company that, despite the difficulties, managed to implement a similar approach and maintain a dynamic pace of development. |
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